Block (NYSE: XYZ) has surged by over 7% this morning after the S&P Dow Jones Indices announced that this company is joining the S&P 500 Index effective Wednesday. This has pushed the stock above its 200-day moving average for the first time since spring and has option desks buzzing that it could break above $80.

Block jumped after being tapped to join the S&P 500, a move that sets the stage for index investors to buy the stock

With the Fed's Open Market Committee meeting next week, the CME Group's FedWatch Tool is projecting the Fed will continue to hold the Federal Funds Rate in a target range of 4.25-4.50% until its 17 September (2025-Q3) meeting, when it is expected to cut the rate by a quarter percent.

While there are a lot of cap-weighted S&P 500 ETFs available for purchase, there aren't very many equal-weight index funds. The best option for U.S. investors is the Invesco S&P 500 Equal Weight ETF ( RSP -0.04%).

Block, the financial technology company formerly known as Square, will join the index before the start of trading on Wednesday, according to S&P Dow Jones Indices, which oversees the S&P 500.

Block shares surge after joining S&P 500, as fintech firm gains institutional traction and bullish forecasts from Wall Street analysts.

That’s the percentage of S&P 500 companies that have reported second-quarter earnings higher than Wall Street expected, according to a FactSet report released Friday. The figure, which only counts companies that have already reported,

is its attractive dividend income. The fund currently has a 3.9% yield based on its recent price and distributions over the past 12 months. That's more than three times higher than the S&P 500's dividend yield, which currently stands at 1.2%, approaching its record low.

Dozens of companies listed under the index have surpassed analyst expectations through a series of earnings reports this week.

Investor demand for yield in the US is helping fuel growth in the market for S&P 500 Index dividend futures and options — a niche corner of the derivatives world where America has long trailed Europe.

The S&P 500 index is meant to be broadly representative of the U.S. economy. The well-known index is also a key gauge for tracking the U.S. stock market. The S&P 500 is what just about everyone uses to monitor the performance of the U.